At the start of the 21st century, the Chinese economy began slowing down after decades of double-digit growth. Ironically, the cause was not a shortage of economic output, but rather, a surfeit of it. In China’s Supply-side Reform, the author offers a historical survey that elucidates the economic conditions that contributed to excess capacity. He also discusses the economic theories that have informed policy direction, presents the scholarly debate between demand-side and supply-side approaches, and explains the reasons for choosing supply-side reform. Last, he recommends a three-step strategy to conduct supply-side reform. As the world continues to expect greater things from China, this book offers an illuminating account of its economic exigencies and future development.
- Fuqian Fang